PANAJI: The government is planning to auction mining leases, which have not been renewed and are due to expire in 2020, said Chief Minister Manohar Parrikar on Thursday.
Although the number of leases going in for auction was not told by the Chief Minister, around 200 iron ore mining leases could be affected by this decision including leases held by prominent mining companies such as Chowgule & Company, Vedanta, V M Salgaoncar and Brothers, Soc Timblo Irmaos, Damodar Mangaljee among others.
The Chief Minister, who is also the Minister for Mines, announced the decision on auction in the state legislative assembly that is presently in session.
Replying to a question raised by BJP MLA Nilesh Cabral, Parrikar said that there are 277 valid mining leases in the state of which 89 are renewed and 188 leases have got the benefit of deemed extension as per the Mines and Minerals (Development and Regulation) Amendment Act, 2015.
Further, of the 89 renewed leases, 48 leases are in operation, said the Chief Minister.
Goa’s iron ore production was 7.29 million tonnes in 2015-16 and 20 million tonnes in 2016-17. The government has fully complied with the Supreme Court directions issued over illegal mining, said the Chief Minister.
Goa’s maximum permissible extraction limit from the 89 renewed leases is 44.37 million tonnes although there is apex court cap of 20 million tonnes at present.
Under the MMDR Amendment Act, 2015, once the lease period expires, leases have to be auctioned as per procedure specified in the ordinance. The purpose of auction is to bring transparency in the lease allocation process and also to increase the earnings of the state.
Auction of mines has already begun in the mining states of Odisha, Chhattisgarh and Jharkhand.